Israel and Greece Sign €3 Billion Achilles Shield Defense Deal

Israel and Greece have signed a €3 billion ($3.5 billion) agreement under which Israeli defense companies will supply Greece with an integrated, multilayered air defense system.

Known as Achilles Shield, the project is the largest defense export agreement ever signed between the two countries and one of the biggest in Israel’s history.

The system will combine David’s Sling and SPYDER, manufactured by Rafael Advanced Defense Systems, with the BARAK MX air defense system developed by Israel Aerospace Industries. It will also include MMR multimission radars produced by ELTA Systems, an IAI subsidiary.

Greece will receive a new national command-and-control system developed by Rafael to connect the different components and coordinate the country’s air defense capabilities.

Together, the systems are designed to provide protection against a range of threats, including ballistic missiles, aircraft, cruise missiles and unmanned aerial vehicles.

The agreement was signed in Tel Aviv on August 31 following approximately three years of negotiations. It forms part of Greece’s broader military modernization program, under which Athens plans to invest around €28 billion by 2036.

Greece will become the second international customer for David’s Sling after Finland. The system, jointly developed by Israel and the United States, is designed to intercept advanced aerial threats at medium to long ranges.

In addition to the main agreement, the countries signed a supplementary €26 million contract for Rafael’s Drone Dome systems. The counter-drone technology will be deployed to protect strategic sites and reinforce Greece’s existing defenses.

The deal also includes technology transfer and industrial cooperation with Greek defense companies. Local firms are expected to participate in the project as Greece seeks to strengthen its domestic defense industry alongside the purchase of foreign systems.

“This historic agreement reflects Israel’s technological edge and the proven track record of our defense systems in the field”, said Israel Ministry of Defense Director General Amir Baram.

The transaction represents a major international achievement for Israel’s defense technology sector. It brings together products developed by several of the country’s largest defense companies in a single national air defense network for a NATO member.

It also expands the presence of Israeli air and missile defense technology in Europe, where demand has grown as governments invest in protection against missiles, drones and other emerging aerial threats.

The agreement builds on expanding defense cooperation between Israel and Greece. Previous projects include a $1.65 billion agreement with Elbit Systems to establish and operate an international flight training center for the Hellenic Air Force.

For Rafael, IAI and ELTA, the Achilles Shield project provides a significant international showcase for their ability to integrate separate interception, radar and command systems into one multilayered defense network.

Sources: Israel Ministry of Defense, Rafael Advanced Defense Systems, Reuters, Associated Press